Local discovery, rewards, and commerce platform Magicpin has raised about $1 million venture debt from Trifecta Capital. This is the first round of venture debt funding for the Gurugram-based company.
Magicpin uses location intelligence to deliver discovery, recommendations, and rewards for local experiences. With this venture debt round, the company had raked-in $11 million total funding since its inception.
Users share their experiences across categories like restaurants, nightlife, beauty, and fashion through pictures that surface in other user’s feeds, inspiring them to discover and try these experiences.
Founded by former venture partner at Lightspeed, Anshoo Sharma and former vice president at Nexus Venture Partners, Brij Bhushan, the hyperlocal discovery startup had raised $7 million in series B round from Lightspeed India Partners and Waterbridge Ventures in May this year.
Currently, it is operational in Delhi, Mumbai, Bengaluru, Hyderabad, Chennai, and Pune. With 1.4 million users, the company claims to facilitate Rs 30 crore of monthly sales for partners in food and beverage chains including KFC and Hard Rock Café.
During FY17, Magicpin had spent about Rs 10 to earn a single rupee. The Lightspeed India-backed company has posted a loss of Rs 17.3 crore with revenue of Rs 1.83 crore during last fiscal.
In December last year, Magicpin had added flavour of augmented reality (AR) to its app. The VR feature allows users to redeem virtual reward points across merchants including McDonald’s, The Beer Cafe, Chaayos amongst several others.
The company targets the age group of 16-32 years and sees 40% of its users come back on the mobile app every fortnight. It claims to have over 100,000 downloads and is largely dominated by women users.
Magicpin competes with Gurugram-based CrownIt, Nearbuy, Little among several others.
The development was first reported by paper.vc.